MarketWatch/Joy Wiltermuth/11-5-2022
“The Federal Reserve on Friday confirmed what many investors were saying for some time: the $24 trillion Treasury market has been experiencing low levels of market liquidity in recent months.”
USAGOLD note: So, the Fed creates a liquidity problem by withdrawing from the Treasuries market as buyer of last resort. It then publishes a major study in which it warns that the Treasury market is suffering from a historic lack of liquidity. An interesting approach ……